Chancellor Alistair Darling today pledged to reduce UK carbon dioxide emissions by 34% by 2020 as he set the “world’s first carbon budget”.
Darling announced £1.4bn of extra funding for the low-carbon sector to help meet the legally binding target.
The funding includes an additional £375m to support energy efficiency in businesses, public buildings and households over the next two years, and £70m for decentralised small-scale and community low-carbon energy schemes.
Darling also announced £90m would be used to help fund two carbon capture and storage demonstration projects.
More than £400m is earmarked to support low-carbon industries and advanced green manufacturing, such as wind energy.
The investment comes on top of an existing £50m warchest to fund low-carbon investment over the three years to 2011, he said.
